Published Date : Nov 04, 2015
China is likely to remain the largest importer of cotton in 2015/16, however, the share of world imports in China have been consistently dropping from 55% in 2011/ 12 to 22% in 2014/15, which is expected to be only 17% this year, as suggested by the new forecast.
Recently, china made an update regarding its cotton import quota, according to which the cotton import quota would be limited to 894,000 tons in 2016.This is same as the limit set for 2015, which is focused to encourage the consumption of cotton domestically produced.
Contrarily, the International Cotton Advisory Committee (ICAC) has the expectation that imports into other countries in Asia are accounting for a larger share and this neutralize the decline from China.
In 2011/12, countries in rest of Asia accounted for almost 31% of the world imports of cotton. With the import pattern consistently increasing in countries of rest of Asia, these countries excluding China will account for imports of 4.5 m tons of cotton, which will 60% of the world imports of cotton.
In rest of Asia region excluding China., Bangladesh, Indonesia, and Vietnam are the largest importers of cotton. In Bangladesh, the imports of cotton is slated to slightly exceed 1m tons in 2015/16, which will be a 4% rise from the previous season. On the other hand, cotton imports in Vietnam is expected to be up by 5% to amount to 990,000 tons. However in Indonesia it is the reverse scenario. In 2013/14, the imports declined in Indonesia, after which there was an increase of 13% amounting to 735,000 tons in 2014/15, which is expected to increase further to be amounted at 780,000 tons in 2015/16.
In terms of mill use of cotton in Asia outside China, it is forecasted to increase by 4% amounting to 12 m tons, which will represent 48% of the world’s consumption forecasted to be 25 m tons in 2015/16.